CONSENT OF INDEPENDENT AUDITORS

We  consent  to  the  reference  to our firm under the caption  "Experts" and to
the use of our reports  dated  September  10, 1998 and  January 25,  1999,  with
respect to the  consolidated  balance sheet of ATEL  Financial  Corporation  and
Subsidiary  at July 31,  1998,  and the  financial  statements  of ATEL  Capital
Equipment  Fund VIII, LLC at December 31, 1998, and for the period from July 31,
1998  (inception)  through  December  31,  1998,  respectively,  included in the
Registration  Statement (Form S-1 No. 333-62477 to be filed on June 8, 1999) and
related   Prospectus  of   ATEL  Capital  Equipment  Fund   VIII,  LLC  for  the
registration of 15,000,000 limited liability company units.


                                             Ernst & Young, LLP


San Francisco, California
June 3, 1999